After an agreement in which China’s Tencent will increase its interest in the firm, Ubisoft’s co-founder and CEO Yves Guillemot indicated on Thursday that the company is still open to new partners.
Guillemot’s remarks came after a terrible day for Ubisoft’s shares, which fell 17% after the firm said Tencent would become its single largest shareholder with an overall interest of 11%.
The transaction values the “Assassin’s Creed” creator at around $10 billion. “We are completely autonomous, and we can work with any outside firm if we want,” said Guillemot, who established Ubisoft in 1986 with his four brothers.
According to traders and analysts, the Tencent transaction, in which the world’s largest gaming company by revenue enters into a shareholder agreement with the Guillemots, has diminished the speculative attraction of Ubisoft shares.
Gameloft, a smaller mobile video game developer previously managed by Yves Guillemot’s brother Michel, was acquired by Vivendi six years ago. “We learnt a lot along the process and achieved significant progress with real action plans guided collaboratively by our leaders.”
In the midst of a boom and M&A wave in the video game industry, the company’s financial troubles came on top of multiple delays in the delivery of new video games and increased pressure on management.
Ubisoft’s three “pillar” titles – “Assassin’s Creed,” “Far Cry,” and “Tom Clancy’s Rainbow Six” – will be available on all digital platforms as part of its goal to return to growth, according to Guillemot. Guillemot stated that the group’s goal for these three brands is to generate 3 billion euros in yearly sales during the next five years. “Assassin’s Creed” will be released in 2023, according to Guillemot. Ubisoft is also collaborating with Netflix to create three original mobile games, one of which is based on Assassin’s Creed.